Repository: UIHistories Project: Board of Trustees Minutes - 1962 [PAGE 468]

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1961]

UNIVERSITY OF ILLINOIS

465

FESTIVAL OF CONTEMPORARY ARTS

Mrs. Watkins asked that the Board take note of the 1961 Festival of Contemporary Arts recently concluded on the Urbana-Champaign campus, and record its appreciation of the services oi those in charge jor the work they have done. The Secretary was instructed to send an appropriate message to them on behalf of the Trustees. EXECUTIVE SESSION At this point, on motion of Mr. Hughes, an executive session was requested and ordered for consideration of the following items of business.

APPROPRIATION FOR ARCHITECTURAL SERVICES

(1) In order that work may proceed on plans and specifications for buildings to befinancedfrom the Universities Bond Issue, the Director of the Physical Plant and the Vice-President and Comptroller recommend that an appropriation of $-191,000, or as much thereof as may be necessary, be made from Indirect Costs to cover services performed prior to July 1, l w l . When the proceeds of the Bond Issue become available, subsequent payments will be charged to the state appropriations for the building1 projects involved, and the unexpended balance in the assignment from Indirect Costs will lapse. On motion of Mr. Swain, this appropriation was made by the following vote: Aye, Mr. Clement, M r , Dilliard, Mr. Harewood, Mr. Hughes, Mr. Johnston, M r . Pogue, Mr. Swain, M r s . Watkins, M r . Wilkins, Mr. Williamson; no, none; absent, Mr, Kerner.

SALE OF PROPERTY AT 6 0 9 EAST UNIVERSITY AVENUE. CHAMPAIGN. AND PURCHASE O F PROPERTY AT 9 0 1 WEST GREEN STREET. URBANA

(2) The Board of Trustees on February 15, 1961, authorized the exchange of property owned by the University at 609 East University Avenue, Champaign, for a property at 901 West Green Street, Urbana, which will be needed by the University in its long-range campus development. The Champaign property is an endowment fund investment1 and the exchange arrangement was subject to an approving opinion of the Legal Counsel as to the University's right to exchange the asset of a trust fund. This property will not be required for campus expansion in the foreseeable future. The Legal Counsel has advised that this trust fund must be invested in securities and that the property at 901 West Green Street will not qualify as an investment even though it may be owned by the University and the net income is used for the purposes of the endowment. The Champaign property is a qualified investment of the endowment only because it was acquired to protect a mortgage note on the property received as part of the original endowment bequest. The Vice-President and Comptroller recommends that the University acquire Ihe property at 901 West Green Street, Urbana, through the University of Illinois Foundation, at the previously negotiated price of $21,000. The Board of Directors of the Foundation has approved this purchase and the First National Bank of Chicago has agreed to finance it. The University will purchase the property from the Foundation when state capital appropriations are available and released for ™d acquisitions. In the meantime the income from the property will be sufficient •or interest and principal payments on the loan. The Vice-President and Comptroller also recommends that the property at M9 East University Avenue, Champaign, be sold for $21,000 and the proceeds ifiyested in securities for the endowment fund. A formal resolution authorizing this transaction is submitted herewith, I concur in these recommendations.

.i . * This property represents part of the i n v e s t m e n t of a bequest m a d e to the U n i v e r s i t y by tnrt Kendric C. Babcock o f the College of Liberal A r t s and Sciences establishing an WJowment fund for support of research, fellowships, and publications in history a n d political